Mooniswap Liquidity Earnings Calculator
Trade Details
Results
For a trade of 0 USDC with 0% slippage:
Uniswap LP Earnings: 0.00 USDC
Mooniswap LP Earnings: 0.00 USDC
Difference: 0.00 USDC (0.00% more)
Most crypto traders know Uniswap. But if you're supplying liquidity to decentralized exchanges, youâre probably leaving money on the table. Mooniswap isnât just another DEX-itâs a smarter way for liquidity providers to earn more by turning arbitrage profits into your income.
What Makes Mooniswap Different?
Mooniswap launched in August 2020 as a project from the 1inch team, built on Ethereum and designed to fix a core problem in AMMs: arbitrageurs stealing profits from liquidity providers. Unlike Uniswap, where price changes happen instantly after every trade, Mooniswap uses a delayed price update system called virtual balances.Hereâs how it works: when someone swaps tokens, the price doesnât update right away. Instead, the system holds the new rate in a virtual balance for about five minutes. During that window, arbitrage bots have a harder time jumping in and exploiting the price gap. The profit they wouldâve made? It stays inside the liquidity pool.
This small delay is the key. While Uniswap V2 lets arbitrageurs capture nearly all slippage revenue, Mooniswap redirects it back to liquidity providers. According to internal simulations by the 1inch team, this boosts earnings by 50% to 200% compared to Uniswap V2. Thatâs not theoretical-itâs backed by real trading data from the Ethereum network.
How Liquidity Providers Earn More
If youâre supplying ETH and USDC to a pool on Uniswap, you earn a share of the 0.3% trading fee. On Mooniswap, you earn that same fee-but you also get a slice of the slippage revenue that wouldâve gone to bots.For example, if a trader swaps 10,000 USDC for ETH and the price moves 2% during the trade, Uniswap lets the arbitrageur buy low and sell high, pocketing the 2%. Mooniswap delays that price adjustment. The arbitrageur still acts, but the price they see is still close to the old rate. Their profit shrinks-and the difference gets added to your pool.
This isnât magic. Itâs economics. By making arbitrage less profitable, Mooniswap turns a cost for liquidity providers into a revenue stream. The protocol doesnât charge extra fees. It just redistributes what was already being lost.
How Mooniswap Compares to Uniswap
| Feature | Mooniswap | Uniswap V2 |
|---|---|---|
| Price Update Speed | Delayed (5-minute virtual balance window) | Instant |
| Liquidity Provider Earnings | 50-200% higher than Uniswap V2 | Standard 0.3% fee only |
| Arbitrage Profit Capture | Redirected to liquidity pools | Kept by arbitrage bots |
| Fee Structure | Flexible; up to 5% can go to integrators | Fixed 0.3% |
| Gas Costs | Same as Uniswap (Ethereum network fees) | Same as Mooniswap |
| Wallet Required | MetaMask, WalletConnect, etc. | Same |
For traders, the delay might feel like slower execution. But for liquidity providers, itâs a game-changer. Youâre not just earning fees-youâre earning from the very inefficiencies that hurt other AMMs.
How to Use Mooniswap
Getting started is simple if youâve used any DeFi platform before:- Connect your wallet (MetaMask, Coinbase Wallet, or any EVM-compatible wallet).
- Make sure you have enough ETH to cover gas fees-usually $5-$15 depending on network congestion.
- Go to the Mooniswap interface and choose âTradeâ to swap tokens or âAdd Liquidityâ to earn fees.
- When adding liquidity, youâll receive LP tokens. These represent your share of the pool and are burned when you withdraw.
No KYC. No deposits. No middleman. Your funds stay in your wallet at all times. Thatâs the DeFi promise-and Mooniswap delivers it without the fluff.
Who Should Use Mooniswap?
Mooniswap is best for:- Liquidity providers who want higher returns than Uniswap
- Traders who donât mind a 5-minute delay in price updates
- Users already in the 1inch ecosystem (who can use 1INCH tokens for discounts)
- Those comfortable with Ethereum gas fees and self-custody
Itâs not ideal for:
- New crypto users unfamiliar with wallets or gas fees
- Traders needing instant execution (e.g., high-frequency arbitrage)
- Anyone trading on chains other than Ethereum
If youâre serious about earning from DeFi, Mooniswap is one of the few protocols that actually pays you for doing the right thing-providing liquidity. Most platforms just take your tokens and charge fees. Mooniswap lets you profit from the systemâs own friction.
Limitations and Risks
No system is perfect. Mooniswapâs biggest downside? Liquidity depth. Compared to centralized exchanges or even Uniswap, Mooniswapâs pools are smaller. That means larger trades can still cause slippage-even with the virtual balance system.Also, if youâre trying to arbitrage yourself, the 5-minute delay means you wonât get the fastest prices. Youâre competing with bots that have better tools and faster connections. For most users, thatâs fine. For professional arbitrageurs, itâs a barrier.
And like all Ethereum-based protocols, youâre at the mercy of network congestion. During peak times, gas fees can spike above $50. Thatâs not Mooniswapâs fault-but itâs a reality of using DeFi on Ethereum.
The Bigger Picture: Mooniswap in DeFi
Mooniswap isnât just a DEX. Itâs a proof of concept for a new kind of economic design in DeFi. Instead of treating arbitrage as a necessary evil, it turns it into a revenue engine. This idea has influenced other protocols, and even Uniswap has explored similar concepts in later versions.Itâs also tightly integrated with the 1inch DEX aggregator. If you use 1inch to find the best price across multiple exchanges, youâre already interacting with Mooniswapâs underlying tech. The 1INCH token can be used for fee discounts on both platforms, creating a sticky ecosystem.
The team has hinted at reducing fees to 0% in the future. Thatâs bold. Most DEXes charge fees to survive. Mooniswap might survive by making liquidity provision so profitable that users stay even without fees.
Final Thoughts
Mooniswap doesnât try to be everything. It doesnât offer fiat on-ramps, margin trading, or NFT swaps. It focuses on one thing: making liquidity provision more profitable. And it does it better than anyone else.If youâre supplying liquidity to any AMM, you owe it to yourself to test Mooniswap. The difference in earnings isnât small-itâs dramatic. Youâre not just swapping tokens. Youâre participating in a smarter financial system.
Itâs not for everyone. But if you understand DeFi basics and want to earn more from your crypto, Mooniswap is one of the most compelling options on Ethereum today.
Is Mooniswap safe to use?
Yes, but only if you understand DeFi risks. Mooniswap is a non-custodial, open-source protocol audited by reputable firms. Your funds never leave your wallet. However, smart contract bugs, Ethereum network failures, or extreme market volatility can still lead to losses. Always start with small amounts.
Do I need 1INCH tokens to use Mooniswap?
No, you donât need 1INCH tokens to trade or add liquidity. But holding them can reduce your trading fees by up to 5%. If youâre active on the 1inch ecosystem, using 1INCH is a smart way to save.
Can I use Mooniswap on mobile?
Yes. Any mobile wallet that supports Ethereum (like MetaMask Mobile or Trust Wallet) works with Mooniswap. Just open the website in your phoneâs browser and connect your wallet. The interface is responsive and works well on smaller screens.
Why isnât Mooniswap as popular as Uniswap?
Because itâs newer and doesnât market itself as aggressively. Uniswap has brand recognition and a simple interface that appeals to beginners. Mooniswap targets experienced DeFi users who care about maximizing returns. Its growth is slower but more steady-driven by real yield, not hype.
Does Mooniswap support other blockchains?
No. Mooniswap only operates on Ethereum. If you want to trade on other chains like Polygon or Arbitrum, youâll need to use other DEXes. The 1inch aggregator can route trades across chains, but Mooniswap itself remains Ethereum-only.
18 Comments
Write a comment
More Articles
Battle Hero (BATH) Chest NFT Airdrop Guide - Claim the 225 Free NFTs
Learn how to claim one of the 225 Battle Hero (BATH) chest NFTs from the CoinMarketCap airdrop. Get stepâbyâstep instructions, referral tips, and a quick comparison with traditional loot boxes.
Prateek Kumar Mondal
October 30, 2025 AT 07:55mooniswap is legit if you wanna earn more from your lp